Taxable Person in GST
- Blog|GST & Customs|
- 2 Min Read
- By Taxmann
- |
- Last Updated on 4 February, 2021
Latest from Taxmann
Question arises in the mind of a common man is whether I am liable to pay tax under the GST law or not. Here’re some questions related to Goods and Services Tax:
1. Who is liable to pay taxes under GST?
A taxable person is liable to pay tax under GST.
2. Who is a taxable person in GST?
A person is registered or is liable to be registered under the law would be a taxable person in GST. A person would be liable to be registered under the law under two categories:
a) Person liable to be registered mandatorily.
b) Person liable to be registered provided aggregate turnover of supply of goods or services or both exceeds threshold limit.
Generally, a person is liable to pay tax on the supply of goods or services made by him. Whether in any case, a person is liable to pay tax on these supplies received by him?
The tax is generally paid by the person on the supply of goods or services made by him. This is called Forward charge of Tax.
Case Study: A is a Chartered Accountant. He provides consultancy on a taxation matter to B. A is liable to get registered and pay tax on the supply of services made by him to B subject to fulfillment of conditions as prescribed under the law.
In some of the cases, a person is liable to pay tax on the goods or services received by him. The law casts the responsibility to pay tax on the person receiving the supply of goods or services rather than the person supplying the goods or services. This is called Reverse charge of tax.
Case Study: A is a Chartered Accountant. He provides consultancy on a taxation matter to B. Here, Law provides that B is liable to get registered and pay tax on the supply of services received by him from A. This is reverse charge wherein recipient is liable to pay tax.
Related Articles:
Disclaimer: The content/information published on the website is only for general information of the user and shall not be construed as legal advice. While the Taxmann has exercised reasonable efforts to ensure the veracity of information/content published, Taxmann shall be under no liability in any manner whatsoever for incorrect information, if any.
Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.
The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:
- The statutory material is obtained only from the authorized and reliable sources
- All the latest developments in the judicial and legislative fields are covered
- Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
- Every content published by Taxmann is complete, accurate and lucid
- All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
- The golden rules of grammar, style and consistency are thoroughly followed
- Font and size that’s easy to read and remain consistent across all imprint and digital publications are applied
Sign Up
To subscribe to our weekly newsletter please log in/register on Taxmann.com
Latest Books
Everything on Tax and Corporate Laws of India
To subscribe to our weekly newsletter please log in/register on Taxmann.com
CA | CS | CMA
Comments are closed.